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A multi-supplier ordering policy under the condition of discount price

In this paper, we consider an Inventory system with multi-suppliers. A supply agreement is made with one of the suppliers, to deliver a fixed quantity Q evry review period ； That is, adapting to discounts of under the condition of free addition often implies that the timing and sizes of future replenishment orders are less predetermined. The replenishment decisions for the other supplier are governed by a replenishment policy. This paper, multiple suppliers strategy is a combination of a push system (the main supplier delivers every review period a predetermined quantity Q) and a pull system the replenishment orders placed at other suppliers are governed by replenishment policy. The costs are defined as the sum of the ordering, holding, purchasing and opportunity costs. Based on numerical results, conclusions follow about the division of the replenishment volume among the inventory policy.